The DOW Could Potentially Hit 4,000! Investors Should Be Shorting The Market And Buying Metals And Hold For The Long Term

In his latest update, Greg Mannarino discusses his outlook for the markets in the wake of Obama’s re-election. With the looming fiscal cliff, massive tax increasing set for 2013, the Fed preparing to take QE supernova, Mannarino states a major market sell-off and financial collapse is comingin which many people will LOSE EVERYTHING! Mannarino believes that the coming crash will be so intense that the DOW could potentially hit 4,000!

He concludes by stating investors should be buying metals across the board at current levels, and hold for the long term.

The president has no position on the big banks, and it seems he likes it that way.

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No matter how much money the Federal Reserve feeds banks via QE4-ever, enough so they could pay off their bailout loans, pay themselves big bonuses again, pay trumped-up dividends to entice equity investors, and continue buying Treasuries with no-interest financing, their balance sheets are still laden with derivatives, stale mortgages and sickeningly more government debt that’s about to get downgraded.

This president blew his first mandate and the result is that it’s like déjà vu all over again.

The too-big-to-fail banks are all a lot bigger now than they were in 2008, and none of them are any more stable or less prone to the massive correlation of similar asset mixes and counterparty exposure (namely themselves) that if pierced will trigger another crisis.

Thorsten Polleit, chief economist at Degussa Goldhandel GmbH, tells CNBC that credit supply to the private sector is contracting at a rate unseen since the early 1980s, the severest decline in decades.

Sarhan said a key question for now is whether the current pullback — so far a relatively mild one — gets worse and enters correction territory, typically defined by a decline of more than 10% from a recent high.

He identifies dangers for the market that could trigger more selling:

Continuing technical deterioration for heavy-hitting stocks like Apple Inc. AAPL -3.05% , which he said broke its 200-DMA last week ;